Why Self Manage Your Super?
Elmbridge & Co can assist you with the establishment of your SMSF, before we can start we will need to review your circumstances and ensure that the SMSF is the right vehicle for your needs. Where needed we can also offer advice on the establishment under our Authorised Representative with Superannuation Advisors Network.
Some of the items that will need to be brought into consideration in making your decision is the following:
Advantages over traditional super funds:
Control: SMSF provides more investment control. This is especially important as it allows for investments not available through traditional superannuation funds.
Flexibility: SMSFs offer tailored investment and retirement planning options. When mixed with strategic planning this can be highly valuable.
Cost-effective: SMSFs are cost-effective for larger balances.
Estate planning: SMSFs offer more flexibility for asset distribution.
Disadvantages when comparing to traditional funds:
Time-consuming: Managing SMSFs can be time-consuming. As much as we will be able to help, as trustees, you are responsible for managing the fund, including investments, record-keeping, and compliance requirements.
Risk: SMSFs can carry a higher level of investment risk. Depending on the investment spreads SMSF’s can have a lower diversification in assets and this will result in asset risk.
Compliance requirements: SMSFs have strict compliance requirements.
Limited borrowing: SMSFs have complex rules around borrowing.
Cost of smaller balances: SMSFs can be more expensive for smaller balances. Due to the fixed fee nature the percentage cost of your fund is a large consideration.
By engaging SMSF administration professionals and financial advisors, the majority of the risks can be mitigated especially where there may be a lack of skill in the super area for the trustee. That is where we can help.
If you would like to book an appointment with our SMSF specialist to discuss moving forward with SMSF please contact our office.
Control Your Investments
Trustees can have more control over investments inside of an SMSF than traditional funds
Get Tailored Strategies
By working with specialists you can have more flexible strategic options ensuring your retirement strategy is in hand.